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Switzerland

Inheriting or receiving a gift from India as a Swiss resident

Swiss inheritance tax is cantonal, and it follows where the deceased lived, not where you live. So an Indian estate is largely outside it.

You live in Switzerland and you have inherited or been gifted money or property in India, and you want to know the tax. The Swiss position is more favourable than people expect, because of how Swiss inheritance tax is structured: it is charged by the cantons, and it follows where the person who died lived, not where you live. So an inheritance from a parent based in India is largely outside the Swiss net. Here is how it works.
Last reviewed: 27 July 20266 min readReviewed by Preetesh Maloo, CA

The short answer

India does not tax you on this. India has no inheritance or gift tax, and an inheritance, a bequest under a will, or a gift from a relative is exempt in the income-tax law, so the Indian receipt is tax-free. Switzerland is favourable too, for a structural reason. There is no federal inheritance tax; it is levied by the cantons, and two features help you. First, spouses are exempt in every canton and children are exempt in most, so close-family inheritances often bear little or no tax anyway. Second, and more importantly for an Indian inheritance, Swiss cantonal inheritance tax follows the last home of the person who died for movable assets, not where you the heir live. So if your parent lived and died in India, the movable Indian estate is generally outside Swiss inheritance tax altogether, even though you are resident in Switzerland, and Indian property is taxed only where it sits, which is India, where there is no death tax. There is no Switzerland-India inheritance treaty, and none is needed. Our job is the Indian side.

References on this page

  • India has no inheritance or gift tax; an inheritance, will or relative's gift is exempt under Section 56(2)(x), so the Indian receipt is tax-free
  • Switzerland has no federal inheritance tax; it is cantonal, with spouses exempt in every canton and children exempt in most
  • Swiss cantonal inheritance tax follows the deceased's last home for movable assets, so an estate from an India-based parent is largely outside it even for a Swiss-resident heir
  • Indian immovable property is taxed only where it sits, in India, which has no death tax; there is no Switzerland-India inheritance treaty

India does not tax it, and Switzerland mostly does not either

The Indian side is straightforward: India has no inheritance tax and no gift tax, and the income-tax law exempts anything you receive under a will, by inheritance, or as a gift from a relative, under the proviso to Section 56(2)(x), so the Indian receipt is tax-free. Switzerland is more favourable than most people assume, and for a structural reason worth understanding. There is no federal inheritance or gift tax in Switzerland. It is charged by the individual cantons, and the cantons vary, but two features work in your favour.

First, on relationships: a surviving spouse or registered partner is exempt from inheritance tax in every canton, and direct descendants, your children, are exempt in most cantons, with only a few still taxing them. So a close-family inheritance often bears little or no Swiss tax to begin with. The second feature is the one that really matters for an inheritance coming from India, and it is about where the tax attaches.

Swiss tax follows the deceased's home, not yours

This is the key point. Swiss cantonal inheritance tax on movable assets, money, investments, and the like, attaches to the last home, the domicile, of the person who died, not to where you as the heir live. So if your parent lived and died in India, the movable part of their Indian estate is generally outside Swiss cantonal inheritance tax altogether, even though you are resident in Switzerland. Your being a Swiss resident does not pull the Indian movable estate into the Swiss net, because the deceased's Indian domicile, not your Swiss residence, sets the nexus. For immovable property, the rule is that it is taxed where it sits, so an Indian flat or house is a matter for India, which has no death tax.

The practical result is that an inheritance from an India-based parent is, in most cases, largely or entirely outside Swiss inheritance tax, a distinctly favourable position compared with Germany, Ireland or France, where your residence alone can pull the Indian estate into charge. The exception to keep in mind is if the deceased had themselves been resident in Switzerland, which changes the analysis, or if you are in one of the few cantons that tax children, but for a classic case of inheriting from family in India, Switzerland's reach is limited. There is no Switzerland-India inheritance treaty, and none is needed because the Indian estate falls outside the Swiss net anyway. Our role is the Indian end: the legal heir paperwork, a valuation of the Indian asset, a certificate confirming no Indian death tax, and repatriation of the inherited funds to you.

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What's involved

What the CA actually does

  1. 1

    We confirm the Swiss reach

    We help confirm that, with an India-based deceased, the Indian estate is largely outside Swiss cantonal inheritance tax.

  2. 2

    We prove no Indian tax is due

    We give you a certificate confirming India levies no inheritance or estate tax, for your Swiss adviser.

  3. 3

    We handle the heir paperwork

    We sort the legal heir or succession documents and the transfer of the Indian asset into your name.

  4. 4

    We repatriate the money

    We move the inherited funds out of India to you, through the permitted route, with the tax paperwork.

What to have ready

Documents you'll typically need

  • Details of what you inherited or were gifted in India
  • Where the person who died was living
  • Your canton of residence and relationship to them
  • The will or succession documents, if any

Frequently asked questions

Common questions

Inherited from India while living in Switzerland?

Tell us where the deceased lived and what you inherited. A practising CA will handle the Indian side and confirm the Swiss position, no obligation.

No card, no obligation. All certification and filing work is handled by ICAI-registered practising Chartered Accountants.